Darragh O'Brien (Fianna Fail) | Oireachtas source

Perhaps the Minister of State will expand on that in his reply. I fundamentally disagree with the idea, but this debate provides an opportunity for the Minister of State to give clarity on many of the areas where, frankly, there has been a good deal of confusion. We could blame the devil and all, but the fact is that people are not clear on how it will work.

I have a major problem with the installation of water meters. One reason I will not support the Bill on Second Stage relates to the structure and how this will be set up. PricewaterhouseCoopers carried out a report, commissioned by the Government, on how the process should be managed. The firm clearly stated that there should be an independent Government-owned or State-owned entity. Instead, the operation is being given to a semi-State body, which will probably be a private entity in future, Bord Gáis Éireann, without any real tendering process. It was only a question of whether it would be Bord Gáis or Bord na Móna. I have grave concerns for the future and for how this will impact on people who work every day of the week in local authorities and who do a really good job.

I understand there have been three bursts of water pipes in Fingal and these problems are continuing as we speak. We regularly receive e-mails with such news. We know the infrastructure is poor in many places. We have seen improvements in recent years, including up to this winter, whereby main trunk water mains are being replaced in conjunction with other works taking place and that is sensible. I hope I will be proven wrong because water is a valuable resource for all of us and it is important that we get it right, but I do not have confidence in how we will manage the transition and ensure that we upgrade our fresh water system to the point where it should be.

There are issues with regard to the costs of the installation of the meters. We were informed at the start that the consumer and the public would not be paying for the installation. Then we learned that they would be paying by way of a loan from the National Pensions Reserve Fund in the region of ¤450 million, which would be charged at interest over 20 years at approximately ¤40 per annum. Effectively this will amount to a cost of ¤340 to the consumer. Consumers will be paying for water, which they did not have to pay for previously and now, as I understand it, they will also be paying for the installation of the meters with an interest rate charged as well. That is not equitable or fair. Before that is introduced the Government must provide absolute clarity on the degree of free water usage and this should be done on a per person per household basis. It should take into account the demographics within each household as well. If there are young children in a household it will use more water; this depends on age groups in certain households.

This needs to be worked out and it cannot be rushed and that is our problem with the Bill. The Minister of State holds a different view and I respect that. We need to consider whether we are rushing ahead with this. If we start on the basis that we will not get metering right at the beginning then public confidence will be lost. Those are some of the questions I have put to the Minister of State I know he will answer them and I appreciate that.

With the indulgence of the Leas-Chathaoirleach, I call on the Minister of State to examine the tendering process for the installation of water meters. There is a real concern that the small and medium-sized Irish business sector will be bounced out of this process. I have already received complaints about the pre-tendering qualification stage because of the level of turnover required for a tendering business. If we are serious about using this exercise to create 2,000 jobs, do we want to give those jobs to the large organisations? Should we not give them to the local businesses that are well trained to do the work and that can do it? I call on the Minister of State to examine the levels of turnover set down for businesses to tender for jobs that we all know they can do. I would be far happier, as would Senator Landy, for a business in Carrick-on-Suir to get the job to carry out the work in that area or for a business in Swords which has the expertise to get it for the surrounding area there. I do not want a large foreign conglomerate to come in and install all of these meters and I call on the Minister of State to examine that.